Many appraisers are upset about some of the recent changes in the regulatory landscape that the appraisal community must work within, and justifiability so. Several short videos express their feelings of outrage over these changes. They are pretty funny. I have provided links to two of these videos below. However before you watch them you need a brief primer on one of these recent changes which is addressed in the video in order to appreciate the humor.
Andrew Cuomo, the Attorney General of New York, sued Fannie Mae and Freddie Mac because he felt that they were allowing lenders to pressure appraisers into inflating housing values. It was his opinion that it was these inflated housing values (the housing bubble) that lead to the current housing and banking crisis. The suit was settled when Fannie and Freddie agreed to comply with his mandate known as the Housing Valuation Code of Conduct (HVCC) that basically says that lenders can no longer order appraisals directly from appraisers. Instead from now on (for loans sold to Fannie and Freddie) a disinterested third party (an intermediary) must stand between the lender and appraiser. These intermediaries are known as Appraisal Management Companies (AMC's).
The concensus within the appraisal industry is that these AMC's contribute virtually nothing to the appraisal value chain yet are responsible for large increases in the cost of an appraisal meanwhile they pay the appraiser next to nothing.
Now for the fun, check out these two short videos. They are pretty funny but then again I am an appraiser and this may just be "appraisal humor" that might only be funny to another appraiser. I'll let you decide.
BPO = Real Estate Broker's Price Opinion (a poor mans appraisal, can sometimes be allowed instead of a real appraisal)
Videos:
The HVCC ruins Hitler's Day
The HVCC ruins Hitler's Dinner
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I don't know if Mr. Hitler has an office in MD but I think he once worked as a parking meter attendant in Bethesda.
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